International extends supplier deal with Cummins, ends talks with Volvo

COLUMBUS, Ind. (Dec. 21, 2001) — Cummins Inc. said today it has signed a long-term extension of an agreement with International Truck and Engine to supply ISM engines. The current agreement expires in 2002; the length of the new deal was not disclosed.

Cummins said the agreement bolsters its strategic relationship with International by providing a full line of heavy-duty truck engines that will meet more stringent emissions requirements starting in October 2002. International produces its own line of medium-duty engines.

Cummins said it will continue to supply ISM parts through the Cummins distribution network to International dealers.

Meantime, Volvo AB said it has broken off talks to supply International with 12- to 13-litre engines. The two companies stopped negotiations after deciding it wasn’t possible to meet the conditions of an agreement established in May.